March 5, 2018

Absorption of homes across top seven Indian cities doubled in Jan compared to Dec: Anarock

After a lacklustre performance by the real estate market in 2017, impacted as it was by demonetisation and introduction of RERA and GST, the sector has shown positive signs of revival in the first two months of 2018, according to a research report by Anarock property consultants.

The report showed positive signs in sale of units in January 2018 compared to December 2017, with 100 per cent absorption of homes. The absorption of homes across the top seven Indian cities doubled from 250 units in December 2017 to 500 units in January 2018, said Anuj Puri, Chairman of Anarock property consultants.

The report showed that NCR recorded a whopping 28 per cent increase in the sale of units launched in the same month, while MMR and Hyderabad also showed positive signs with an 11 per cent and 10 per cent increase respectively. Pune and Chennai also saw a marginal rise of four per cent and three per cent respectively in the sale of units launched in the same month, the report said.

India's economic fundamentals are gaining strength as the momentum of the incumbent government's statutory reforms continues. The nation's residential real estate industry is also aligning itself with prospects of strong long-term growth. The sector is expected to stabilise with lower interest rates, rising absorption levels and decreasing unsold stock. To achieve this, developers across the metropolises are restricting the new launches and trying to offer the most competitive rates to offload their existing inventory, Puri said.

However, there was a 17 per cent decline in new launches. As many as 6,600 new units were launched in seven top cities of the country in December 2017, but only 5,500 units were launched in January 2018, the report said.

New launches in many cities, including the National Capital Region (NCR) and Hyderabad, were more sluggish in January 2018 than in December 2017. Only Bengaluru and Mumbai Metropolitan Region (MMR) witnessed a marginal rise in new launch supply. The restricted new supply addition was primarily due to developers focus on project execution and clearing of existing unsold inventory, said Puri.

Puri said under the stringent RERA norms, new projects can be launched only after securing necessary approvals and as a result, the previous craze for pre-launches and soft launches has finally faded into history. The report is based on data sourced from Bengaluru, Mumbai Metropilitan Region (MMR), National Capital Region (NCR), Pune, Chennai, Hyderabad, Kolkata.

Share This:

Read all Thane Real Estate Latest News

 

To Know About Thane Real Estate Projects Contact Us at 022 2580 6868

Source: timesgroup.com